For more than 20 years, research has proven the beneficial effect of natural frequencies when it comes to solving Bayesian reasoning tasks (Gigerenzer & Hoffrage, 1995). In a recent meta-analysis, McDowell & Jacobs (2017) showed that presenting a task in natural frequency format increases performance rates to 24% compared to only 4% when the same task is presented in probability format. Nevertheless, on average three quarters of participants in their meta-analysis failed to obtain the correct solution for such a task (...) in frequency format. In this paper, we present an empirical study on what participants typically do wrong when confronted with natural frequencies. We found that many of them did not actually use natural frequencies for their calculations, but translated them back into complicated probabilities instead. This switch from the intuitive presentation format to a less intuitive calculation format will be discussed within the framework of psychological theories (e.g., the Einstellung effect). (shrink)

ABSTRACTProbability judgements entail a conjunction fallacy if a conjunction is estimated to be more probable than one of its conjuncts. In the context of predication of alternative logical hypothesis, Bayesian logic provides a formalisation of pattern probabilities that renders a class of pattern-based CFs rational. BL predicts a complete system of other logical inclusion fallacies. A first test of this prediction is investigated here, using transparent tasks with clear set inclusions, varying in observed frequencies only. Experiment 1 uses data where (...) BL makes dominant predictions; Experiment 2's predictions were less clear, and we additionally investigated judgements about the second-most probable hypotheses. The results corroborated a pattern-probability account and cannot be easily explained by other theories of CFs. IFs were not limited to conjunctions, but rather occurred systematically for several logical connectives. Thus, pattern-based prob... (shrink)

Over the last decades, understanding the sources of the difficulty of Bayesian problem solving has been an important research goal, with the effects of numerical format and individual numeracy being widely studied. However, the focus on the comprehension of probability numbers has overshadowed the relational reasoning demand of the Bayesian task. This is particularly the case when the statistical data are verbally described since the requested quantitative relation (posterior ratio) is misaligned with the presented ones (prior and likelihood ratios). In (...) this regard, here I develop the proposal that research on Bayesian reasoning might improve by considering the notational alignment framework of mathematical problem-solving. Specifically, this framework can help to understand the sources of the main difficulties underlying Bayesian inferences based on verbal descriptions. In essence, the present proposal supports the general claim in math education regarding the need to foster relational comprehension to avoid misleading alignments and improve problem solving. (shrink)

The Monty Hall Dilemma (MHD) is a two-step decision problem involving counterintuitive conditional probabilities. The first choice is made among three equally probable options, whereas the second choice takes place after the elimination of one of the non-selected options which does not hide the prize. Differing from most Bayesian problems, statistical information in the MHD has to be inferred, either by learning outcome probabilities or by reasoning from the presented sequence of events. This often leads to suboptimal decisions and erroneous (...) probability judgments. Specifically, decision makers commonly develop a wrong intuition that final probabilities are equally distributed, together with a preference for their first choice. Several studies have shown that repeated practice enhances sensitivity to the different reward probabilities, but does not facilitate correct Bayesian reasoning. However, modest improvements in probability judgments have been observed after guided explanations. To explain these dissociations, the present review focuses on two types of causes producing the observed biases: Emotional-based choice biases and cognitive limitations in understanding probabilistic information. Among the latter, we identify a crucial cause for the universal difficulty in overcoming the equiprobability illusion: Incomplete representation of prior and conditional probabilities. We conclude that repeated practice and/or high incentives can be effective for overcoming choice biases, but promoting an adequate partitioning of possibilities seems to be necessary for overcoming cognitive illusions and improving Bayesian reasoning. (shrink)

This work examines the influence of reference dependence, including value selection bias and congruence effects, on diagnostic reasoning. Across two studies, we explored how dependence on the initial problem structure influences the ability to solve simplified precursors to the more traditional Bayesian reasoning problems. Analyses evaluated accuracy and types of response errors as a function of congruence between the problem presentation and question of interest, amount of information, need for computation, and individual differences in numerical abilities. Across all problem variations, (...) there was consistent and strong evidence of a value selection bias in that incorrect responses almost always conformed to values that were provided in the problem rather than other errors including those related to computation. The most consistent and unexpected error across all conditions in the first experiment was that people were often more likely to utilize the superordinate value as part of their solution rather than the anticipated reference class values. This resulted in a weakened effect of congruence, with relatively low accuracy even in congruent conditions, and a dominant response error of the superordinate value. Experiment 2 confirmed that the introduction of a new sample drew attention away from the provided reference class, increasing reliance on the overall sample size. This superordinate preference error, along with the benefit of repeating the PPV reference class within the question, demonstrated the importance of reference dependence based on the salience of information within the response prompt. Throughout, higher numerical skills were generally associated with higher accuracy, whether calculations were required or not. (shrink)

Gigerenzer’s ‘external validity argument’ plays a pivotal role in his critique of the heuristics and biases research program (HB). The basic idea is that (a) the experimental contexts deployed by HB are not representative of the real environment and that (b) the differences between the setting and the real environment are causally relevant, because they result in different performances by the subjects. However, by considering Gigerenzer’s work on frequencies in probability judgments, this essay attempts to show that there are fatal (...) flaws in the argument. Specifically, each of the claims is controversial: whereas (b) is not adequately empirically justified, (a) is inconsistent with the ‘debiasing’ program of Gigerenzer’s ABC group. Therefore, whatever reason we might have for believing that the experimental findings of HB lack experimental validity, this should not be based on Gigerenzer’s version of the argument. (shrink)

We are neither as pessimistic nor as optimistic as Elqayam & Evans (E&E). The consequences of normativism have not been uniformly disastrous, even among the examples they consider. However, normativism won't be going away any time soon and in the literature on causal Bayes nets new debates about normativism are emerging. Finally, we suggest that to concentrate on expert reasoners as an antidote to normativism may limit the contribution of research on thinking to basic psychological science.

Consistent with Barbey & Sloman (B&S), it is proposed that performance on Bayesian inference tasks is well explained by nested sets theory (NST). However, contrary to those authors' view, it is proposed that NST does better by dispelling with dual-systems assumptions. This article examines why, and sketches out a series of NST's core principles, which were not previously defined.

The formulation of the conditional probability in classical tasks does not guarantee the effective transmission of the independence of the hit rate from the base rate. In these kinds of tasks, data are all available, but subjects are able to understand them in the specific meanings proper to a specialized language only if these are adequately transmitted. From this perspective, the partitive formulation should not be considered a facilitation, but rather, a way of effectively transmitting the conditional probability.Consider the following (...) two phrases:1 The death-rate among men is twice that for women.2 In the deaths registered last month there were twice as many men as women.Are these two different ways of saying the same or are these different events? In fact, they are different events. (Lindley 1985, p. 44). (shrink)

Humans have long been characterized as poor probabilistic reasoners when presented with explicit numerical information. Bayesian word problems provide a well-known example of this, where even highly educated and cognitively skilled individuals fail to adhere to mathematical norms. It is widely agreed that natural frequencies can facilitate Bayesian reasoning relative to normalized formats (e.g. probabilities, percentages), both by clarifying logical set-subset relations and by simplifying numerical calculations. Nevertheless, between-study performance on “transparent” Bayesian problems varies widely, and generally remains rather unimpressive. (...) We suggest there has been an over-focus on this representational facilitator (i.e. transparent problem structures) at the expense of the specific logical and numerical processing requirements and the corresponding individual abilities and skills necessary for providing Bayesian-like output given specific verbal and numerical input. We further suggest that understanding this task-individual pair could benefit from considerations from the literature on mathematical cognition, which emphasizes text comprehension and problem solving, along with contributions of online executive working memory, metacognitive regulation, and relevant stored knowledge and skills. We conclude by offering avenues for future research aimed at identifying the stages in problem solving at which correct versus incorrect reasoners depart, and how individual difference might influence this time point. (shrink)

Kyburg’s opposition to the subjective Bayesian theory, and in particular to its advocates’ indiscriminate and often questionable use of Dutch Book arguments, is documented and much of it strongly endorsed. However, it is argued that an alternative version, proposed by both de Finetti at various times during his long career, and by Ramsey, is less vulnerable to Kyburg’s misgivings. This is a logical interpretation of the formalism, one which, it is argued, is both more natural and also avoids other, widely-made (...) objections to Bayesianism. (shrink)

Many people regard utility theory as the only rigorous foundation for subjective probability, and even de Finetti thought the betting approach supplemented by Dutch Book arguments only good as an approximation to a utility-theoretic account. I think that there are good reasons to doubt this judgment, and I propose an alternative, in which the probability axioms are consistency constraints on distributions of fair betting quotients. The idea itself is hardly new: it is in de Finetti and also Ramsey. What is (...) new is that it is shown that probabilistic consistency and consequence can be defined in a way formally analogous to the way these notions are defined in deductive (propositional) logic. The result is a free-standing logic which does not pretend to be a theory of rationality and is therefore immune to, among other charges, that of “logical omniscience”. (shrink)

Nisbett et al. claim that East Asians are likely to use holistic thought to solve problems, whereas Westerners use analytic thought more, and discuss the differences in the frame of the individualism/collectivism distinction. The holistic versus analytic distinction has been the greatest point of interest of dual process theories, which imply that human thinking has two sub processes. We apply a revised dual process model that proposes meme-acquired goals in both systems to explain cultural differences in thought. According to this, (...) gene-installed goals are universal across cultures, whereas meme-acquired goals depend upon culture. To introduce a dual process model means that we discuss adaptation both in terms of culture and natural selection. Hence, we propose an interactive view that supports an adaptive relation between mind and culture. (shrink)

Manipulations that draw attention to extensional or set-based considerations are neither sufficient nor necessary for enhanced use of base rates in intuitive judgments. Frequency formats are only one part of the puzzle of base-rate use and neglect. The conditions under which these and other manipulations promote base-rate use may be more parsimoniously organized under the broader notion of case-based judgment.

Normative theories can be useful in developing descriptive theories, as when normative subjective expected utility theory is used to develop descriptive rational choice theory and behavioral game theory. “Ought” questions are also the essence of theories of moral reasoning, a domain of higher mental processing that could not survive without normative considerations.

This commentary questions Elqayam & Evans' (E&E's) claims that thinking tasks are doomed to have multiple normative readings and that only applied research allows normative evaluations. In fact, some tasks have just one undisputed normative reading, and not only pathological gamblers but also normal individuals sometimes need normative guidance. To conclude, normative evaluations are inevitable in the investigation of human thinking.

The terms nested sets, partitive frequencies, inside-outside view, and dual processes add little but confusion to our original analysis (Gigerenzer & Hoffrage 1995; 1999). The idea of nested set was introduced because of an oversight; it simply rephrases two of our equations. Representation in terms of chances, in contrast, is a novel contribution yet consistent with our computational analysis System 1.dual process theory” is: Unless the two processes are defined, this distinction can account post hoc for almost everything. In contrast, (...) an ecological view of cognition helps to explain how insight is elicited from the outside (the external representation of information) and, more generally, how cognitive strategies match with environmental structures. (shrink)

People often struggle with Bayesian reasoning. However, research showed that people’s performance (and rationality) can be supported by the way of representing the statistical information. First, research showed that using natural frequencies instead of probabilities as format of statistical information increases people’s performance in Bayesian situations thoroughly. Second, research also yielded that people’s performance increases through using visualization. We build our paper on existing research in this field. The main aim is to analyse people’s strategies in Bayesian situations that are (...) still erroneous although statistical information is represented by natural frequencies and visualizations. In particular, we compare two pairs of visualization with similar numerical information (tree diagram vs. unit square and double-tree diagram vs. 2x2-table) concerning their impact on people’s erroneous strategies in Bayesian situations. For this aim, we conducted an experiment with 540 university students. The students were randomly assigned to four conditions that are defined by the four different visualizations of statistical information. The students were asked to indicate a fraction as response in four Bayesian situations. We documented the numerator and the denominator of the students’ responses representing a basic set and a subset in a Bayesian situation. Our results show that people’s erroneous strategies are highly dependent on the visualization. A central finding is that the visualization’s characteristic of making the nested-sets structure of a Bayesian situation transparent has a facilitating effect on people’s Bayesian reasoning. For example, compared to the unit square, a tree diagram does not explicitly visualize the set-subset relations that are relevant in a Bayesian situation. Accordingly, compared to a unit square, a tree diagram partly hinders people to find the correct denominator in a Bayesian situation, and, in particular, triggers to select a wrong numerator. By analyzing people’s erroneous strategies in Bayesian situations, we contribute to investigating approaches to facilitate Bayesian reasoning and to further develop the teaching of Bayesian reasoning. (shrink)

Epistemologists and philosophers of science have often attempted to express formally the impact of a piece of evidence on the credibility of a hypothesis. In this paper we will focus on the Bayesian approach to evidential support. We will propose a new formal treatment of the notion of degree of confirmation and we will argue that it overcomes some limitations of the currently available approaches on two grounds: (i) a theoretical analysis of the confirmation relation seen as an extension of (...) logical deduction and (ii) an empirical comparison of competing measures in an experimental inquiry concerning inductive reasoning in a probabilistic setting. (shrink)

Does the most common response given by participants presented with Tversky and Kahneman’s famous taxi cab problem amount to a violation of Bayes’ theorem? In other words, do they fall victim to so-called base-rate fallacy? In the present paper, following an earlier suggestion by Crupi and Girotto, we will identify the logical arguments underlying both the original diagnosis of irrationality in this reasoning task under uncertainty and a number of objections that have been raised against such a diagnosis. This will (...) enable us to show firstly that, contrary to the dismissive arguments recently put forward by Elqayam and Evans, empirical evidence turns out to be quite useful in addressing questions of this kind. Therefore, it can make a significant contribution to moving the base-rate fallacy controversy forward. Secondly, the available empirical evidence (though limited and sometimes inconclusive) seems to support the charge of irrationality levelled against the majority of participants presented with the taxi cab problem, and hence suggests that base-rate neglect is a real fallacy − that is the conclusion of our analysis. (shrink)

Bayesian reasoning, defined here as the updating of a posterior probability following new information, has historically been problematic for humans. Classic psychology experiments have tested human Bayesian reasoning through the use of word problems and have evaluated each participant’s performance against the normatively correct answer provided by Bayes’ theorem. The standard finding is of generally poor performance. Over the past two decades, though, progress has been made on how to improve Bayesian reasoning. Most notably, research has demonstrated that the use (...) of frequencies in a natural sampling framework —as opposed to single-event probabilities—can improve participants’ Bayesian estimates. Furthermore, pictorial aids and certain individual difference factors also can play significant roles in Bayesian reasoning success. The mechanics of how to build tasks which show these improvements is not under much debate. The explanations for why naturally-sampled frequencies and pictures help Bayesian reasoning remain hotly contested, however, with many researchers falling into ingrained “camps” organized around two dominant theoretical perspectives. The present paper evaluates the merits of these theoretical perspectives, including the weight of empirical evidence, theoretical coherence, and predictive power. By these criteria, the ecological rationality approach is clearly better than the heuristics and biases view. Progress in the study of Bayesian reasoning will depend on continued research that honestly, vigorously, and consistently engages across these different theoretical accounts rather than staying “siloed” within one particular perspective. The process of science requires an understanding of competing points of view, with the ultimate goal being integration. (shrink)

The Bayesian model has been used in psychology as the standard reference for the study of probability revision. In the first part of this paper we show that this traditional choice restricts the scope of the experimental investigation of revision to a stable universe. This is the case of a situation that, technically, is known as focusing. We argue that it is essential for a better understanding of human probability revision to consider another situation called updating (Katsuno & Mendelzon, 1992), (...) in which the universe is evolving. In that case the structure of the universe has definitely been transformed and the revision message conveys information on the resulting universe. The second part of the paper presents four experiments based on the Monty Hall puzzle that aim to show that updating is a natural frame for individuals to revise their beliefs. (shrink)

The phenomenon of base-rate neglect has elicited much debate. One arena of debate concerns how people make judgments under conditions of uncertainty. Another more controversial arena concerns human rationality. In this target article, we attempt to unpack the perspectives in the literature on both kinds of issues and evaluate their ability to explain existing data and their conceptual coherence. From this evaluation we conclude that the best account of the data should be framed in terms of a dual-process model of (...) judgment, which attributes base-rate neglect to associative judgment strategies that fail to adequately represent the set structure of the problem. Base-rate neglect is reduced when problems are presented in a format that affords accurate representation in terms of nested sets of individuals. (shrink)

The conclusions of Barbey & Sloman (B&S) crucially depend on evidence for different representations of statistical information. Unfortunately, a muddled distinction made among these representations calls into question the authors' conclusions. We clarify some notions of statistical representations which are often confused in the literature. These clarifications, combined with new empirical evidence, do not support a dual-process model of judgment.

In the rationality debate, Gerd Gigerenzer and his colleagues have argued that human’s apparent inability to follow probabilistic principles does not mean our irrationality, because we can do probabilistic reasoning successfully if probability information is given in frequencies, not percentages (the natural frequency hypothesis). They also offered an evolutionary argument to this hypothesis, according to which using frequencies was evolutionarily more advantageous to our hominin ancestors than using percentages, and this is why we can reason correctly about probabilities in the (...) frequency format. This paper offers a critical review of this evolutionary argument. I show that there are reasons to believe using the frequency format was not more adaptive than using the standard (percentage) format. I also argue that there is a plausible alternative explanation (the nested-sets hypothesis) for the improved test performances of experimental subjects—one of Gigerenzer’s key explananda—which undermines the need to postulate mental mechanisms for probabilistic reasoning tuned to the frequency format. The explanatory thrust of the natural frequency hypothesis is much less significant than its advocates assume. (shrink)

Gerd Gigerenzer's views on probabilistic reasoning in humans have come under close scrutiny. Very little attention, however, has been paid to his evolutionary component of his argument. According to Gigerenzer, reasoning about probabilities as frequencies is so common today because it was favored by natural selection in the past. This paper presents a critical examination of this argument. It will show first, that, _pace_ Gigerenzer, there are some reasons to believe that using the frequency format was not more adaptive than (...) using the standard (percentage) format and, second, that Gigerenzer's evolutionary argument and his other arguments such as his historical description of the notion of probability are in tension with each other. (shrink)